IBM Stock Slides 2.7% to 52-Week Low as Q2 Revenue Misses Expectations

IBM stock slipped to an annual low of $211.03 on Wednesday after the company's preliminary second-quarter results showed revenue of $17.2 billion, falling short of Wall Street expectations. CEO Arvind Krishna attributed the miss primarily to the infrastructure division, where sales declined 7% as clients delayed IT and data center spending amid rising cybersecurity concerns.

Bank of America lowered its price target on IBM to $280 from $330 and maintained a 'Buy' rating, noting it was surprised by the magnitude of the topline miss. Oppenheimer downgraded IBM to 'Perform' from 'Outperform', citing concerns the company may struggle to meet full-year guidance or achieve double-digit software growth for 2026 and 2027.